Competitive Capabilities for the Innovation and Performance of Spanish Construction Companies

This research analyses the influence of internal capabilities, identified as strategic by the literature, on the performance and innovation of Spanish construction companies during a recessionary period. Based on this, we studied whether innovative, marketing, financial, managerial, and human capabilities affect competitive success in terms of fostering innovation and the performance of firms. Empirical evidence is provided by performing survey research with a sample of 94 Spanish construction firms. The results show that firm innovation is fostered by innovative, financial, and human capabilities, and that performance is promoted by innovation, and financial and human capabilities. Human capabilities have the most important effect on both innovation and the performance of the company.We thank the anonymous reviewers for their constructive comments. This research was funded by INSTITUTO DE FOMENTO DE LA REGIÓN DE MURCIA in the framework of the SME Barometer